Even as Twitter Inc. raised $1.82 billion in an initial public offering last year, Chief Executive Officer Dick Costolo’s compensation plunged.
Costolo earned $130,250 in 2013, according to a regulatory filing yesterday with the U.S. Securities and Exchange Commission. All of that was from salary, with the CEO getting no bonus, stock awards or options. In 2012, Costolo, who isn’t a founder of the San Francisco-based microblogging service, got $11.5 million in salary, stock awards and options.
It has become fashionable for CEOs of technology companies to pick a low salary, especially if they are already wealthy. Last year, Facebook CEO Mark Zuckerberg got a base salary of $1, following in the footsteps of Google Inc. and Apple Inc. executives who have done the same. In 2012, when Facebook went public, Zuckerberg earned $503,205 in salary.
Costolo has also reduced his salary over time. In August 2013, his annual salary was lowered to $14,000, according to the filing. The CEO has plenty of stock and options from previous grants, including $37 million from an April 2012 stock award. In total, Costolo owns 1.4 percent of Twitter’s shares, according to the filing.
Twitter’s highest-compensated executive last year was Chief Financial Officer Mike Gupta, who helped lead the company’s November IPO. He made $24.6 million in 2013. General Counsel Vijaya Gadde earned $15.1 million.
Twitter, with about 241 million users, has seen its share price gain 63 percent since it went public. The company is working to add more users and expand its advertising offerings, especially on mobile phones. Twitter reports first-quarter earnings on April 29.
Jim Prosser, a spokesman for Twitter, declined to comment beyond the filing.